I am in the position to have my employer move me from an employees status to a 1099. We have on 401k and not health insurance so i think it will be beneficial from a tax perspective. I also am looking at purchasing a new car. I travel about 400 miles per week for this position. I am wondering if i can use section 179 to depreciate the vehicle. Also wonder if i purchase a Tesla model X, which is a heavier SUV, that would be to my advantage.
Yes, you can definitely see if you qualify to take the Section 179 deduction. We’ve got a couple great articles you can check out to see if you qualify for the deduction and also learn more about the standard mileage rate versus deducting actual vehicle expenses. I’ve included links to both of these articles below:
Crystalynn Shelton, CPA